Does Ben Jerrys have the right to direct all marketing programs?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
- 12.2.1 BEN & JERRY'S shall have the right to direct all marketing programs, and to determine the concepts, materials, and media used in such programs and the placement and allocation thereof.
BEN & JERRY'S is not obligated, in administering the Fund, to make expenditures for OPERATOR which are equivalent or proportionate to OPERATOR's contribution, or to ensure that any particular OPERATOR benefits directly or pro rata from expenditures by the Fund.
Contributions to the Fund are not held by BEN & JERRY'S in trust and BEN & JERRY'S does not have any fiduciary obligation to OPERATOR with respect to contributions to the Fund.
Contributions to the Fund are not refundable to OPERATOR and, once received by BEN & JERRY'S, will be used in accordance with this Section 12.2;
Source: Item 22 — CONTRACTS (FDD pages 133–134)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, Ben Jerrys has the right to direct all marketing programs. Specifically, Ben Jerrys has the right to determine the concepts, materials, and media used in such programs, as well as their placement and allocation. Ben Jerrys is not obligated to make expenditures for a franchisee that are equivalent or proportionate to the franchisee's contribution to the marketing fund, or to ensure that any particular franchisee benefits directly or pro rata from expenditures by the Fund. Contributions to the fund are not held in trust by Ben Jerrys, and Ben Jerrys does not have any fiduciary obligation to the franchisee with respect to contributions to the Fund. Contributions to the fund are not refundable to the franchisee.
This means that as a Ben Jerrys franchisee, you will be required to contribute to the marketing fund, but Ben Jerrys has complete control over how those funds are spent. There is no guarantee that the marketing efforts will directly benefit your specific location. This is a common practice in franchising, where franchisors often pool marketing funds to create brand awareness and drive overall system sales.
As a franchisee, you are also obligated to participate in marketing campaigns designated by Ben Jerrys, unless you request in writing to opt out and receive written authorization from Ben Jerrys. If you want to use your own marketing and promotional plans and materials that have not been provided or previously approved by Ben Jerrys, you must submit samples to Ben Jerrys for prior approval (except with respect to prices to be charged). If you do not receive written notice of disapproval from Ben Jerrys within ten business days of receipt of such samples or materials, Ben Jerrys will be deemed to have approved them.
Ben Jerrys also has the right to establish and maintain a website, which may promote the Proprietary Marks, any or all of the Products, Shops, the franchising of Shops, and/or the System. Ben Jerrys has the sole right to control all aspects of the website, including its design, content, functionality, links to the websites of third parties, legal notices, contents of Webpages, and policies and terms of usage. Ben Jerrys also has the right to discontinue operation of the Ben Jerrys Website. As a franchisee, you are not allowed to establish a separate website or register any domain name that displays or uses the Proprietary Marks or any marks confusingly similar thereto, or that refers to the Agreement, the Products, Ben Jerrys or the System.